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REPUBLIC OF THE PHILIPPINES

NATIONAL TELECOMMUNICATIONS COMMISSION
NTC Building, BIR Road, East Triangle, Diliman, Quezon City
Email : ntc@ntc. gov.pft ; website: http : //www. ntc. gov.ph

MEMORANDUM CIRCULAR NO. i-_r4 ^? .: i

suBJEcr: culDEL|NEs oN ELEcrRoNrc BtLLtNG (E-BtLL|NG)
WHEREAS, Section_9, Art. XVI (General Provisions) of the 1987 Philippine Constitution
provides that "The State shall protect consumers from trade malpiactices and
from
substandard or hazardous products";

WHEREAS, Republic Act No. 7394 otherwise known as the "Consumer Act of
the
Philippines"was enacted to empower consumers and promote their general welfare with
the following objectives - Protection against hazards to health and'safety; protection
ag-ainst deceptive, unfair and unconscionable sales acts and practices; provision
of
information and education for sound choice by consumers; Provision of
adequate righfi
and means of redress; and Representation of Consumers in social and economic pdticy
formulation;

WHEREAS, Republic Act No. 7925 otherwise known as "Public Telecommunications

Policy Act of the _Philippines", outlines the responsibilities of the National
Telecommunications Commission which includes, among others, the promotion
of
consumers welfare by facilitating access to telecommunications services
whose
infrastructure and.network must be geared towards the needs of individual
and business
user and protection of consumers against misuse of a telecommunications
entity's
monopoly or quasi-monopolistic powers by, but not limited to, the investigation
of
complaints and exacting compliance with service standards from such
entity;

IVIEREAS, Republic Act No. 8792, otherwise known as "Electronic Commerce Act of
2000", the State recognizes the vital role of information and communications
technology
(lCT) in nation-building; the need to create an information-friendly
environment which
supports and ensures the availability, diversity and affordability of tCr products
and
services; the primary responsibility of the privaie sector in contri6uting investments
and
services in telecommunications and information technology; the neei
to develop, with
appropriate training programs and institutional policy chang-es, human resources
for the
information technology age, a labor force skilled in th6 use oitci and poprl.tion
a capable
of operating and utilizing electronic appliances and computers; its obiigation
to facilitate
the transfer and promotion of technology; to ensure network security,-connectivity
and
neutrality of technology for the national-benefit; and the need to maishal,
organize and
deploy national information infrastructures, comprising in both telecommunications
network and strategic information services, including tfteir interconnection
to the global
information networks, with the necess_ary and approiriate legal, financial,
diplomatic and
technical framework, systems and facilities;

WHEREAS, pursuant to Commonwealth Act No. 146 otherwise known

as the "public
Senzice Acf', as amended, the National Telecommunications Commission
(NTC) ii
vested with the power to fix just and reasonable standards, classifications,
regulations,
practices, measurements or services to be furnished, imposed,
observed and followed
thereafter by any public service;

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WHEREAS, NTC Memorandum Circular No. 05-06-2007 provides that a subscriber can
only be charged according to the rates, terms and conditions he has agreed to;

WHEREAS, NTC Memorandum Circular No. 05-06-2007 further provides that a

subscriber shall be sent notice, which shall be in written form, if practicable, at least thirty
(30) days in advance of any intended change that may affect his service agreements or
non-term contracts. Notices to post-paid subscribers shall be individual while those for
prepaid subscribers may be done through publication in a newspaper of general
circulation. No Public Telecommunications Entity (PTE) provider-initiated change may
take effect without such prior notice and unless allowed by applicable law, NTC rules and
regulations;

WHEREAS, we are in a technology-driven generation moving towards increased reliance

on the internet each day. This growth in internet-based transactions has automated almost
every aspect of our daily lives. Most people are transacting in electronic form. One such
activity is the electronic billing system;

WHEREAS, electronic billing service (e-billing) is the process of delivering bills and
invoices in electronic form (e.9. via online portal or website, or sent to the customer
through email or push messaging, and/or other electronic forms). lt offers a paperless
mode of transaction that is environment-friendly and clutter-free for both the receiver and
sender of the electronic billing;

NOW, THEREFORE, pursuant to the above mentioned laws, rules and regulations, in
order to reinforce consumer protection and promote the interest of consumers/end-users
of telecommunication services, the National Telecommunications Commission (NTC)
hereby promulgates the following regulatory guidelines on e-billing:

1. PTEs may offer to send bills electronically to their subscribers in accordance with
these rules and regulations.

PTEs shall adopt their own rules and procedures on e-billing, subject to publication
in a newspaper of general circulation prior to its effectivity and provided it does not
contravene the provisions of existing laws, rules and regulations.

PTEs' adopted rules and regulations on e-billing shall become effective upon
submission of the same to NTC, provided however, that implementation thereof
may be suspended if NTC finds that said procedures are inconsistent with existing
laws, rules and regulations.

2. All subscribers shall be given the option to receive electronic bills in lieu of paper
bills. Upon election to receive electronic bills, the subscriber has the responsibility
to regularly check his email or other medium of communication selected by saij
subscriber.

New subscribers shall exercise this option at the time of signing the contract for
service. Existing subscribers shall likewise have the option to choose to receive
electronic bills upon notice from the service provider. However, subscribers shall
be allowed to return back to receiving paper bills in accordance with the procedures
set by the concerned service provider.

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 The.subscriber's statement of account, among others, shall be sent electronically
by the service provider through the email/s and other medium as agreed upon by
both parties not later than thirty (30) days from the end of each monthly billing
cycle.

4. Subscribers who opt to receive paper bills shall receive the same free of any charge
including delivery fee.

5. lf a subscriber opts to receive electronic bills, he/she shall provide an email address
where the statement of account shall be forwarded. PTEs, however, may offer
and/or use other mediums of communication, including web portals, provided
notice to subscribers are made.

6. Subscribers who are currently using electronic bills and other medium of
communications through designated emails, online portal access and/or other
designated electronic options have the option to return back to receiving paper
bills, subject to prior notice to, and procedures set by the concerned service
provider.

7. PTEs found to have violated the provisions of this memorandum circular shall be
dealt with in accordance with existing laws.

8. This Circular shalltake effect ,fffin (15) days after its publication in a newspaper
of general circulation and ptiee,(3) certified true copies furnished the UP Law
Center.

Quezon City, Philippines i\ ct(.,

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DELILAH F. DELES GARDO V. CABARIOS
Deputy Commissioner

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